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Kanban Systems

Kanban (kan-ban) - Theory and Practice: Introduction The concept behind the this lean manufacturing tool is to reduce costs in high volume production lines. One-way to do this is to smooth and balance material flows by means of controlled inventories. Translated as signal this allows an organization to reduce production lead-time, which in turn reduces the amount of inventory required. In order to determine optimum system designs, research often uses simulation to determine the number of Kbn's and to study various aspects of pull systems, see for example [1,2]. A heuristic design method has been designed by Ettl and Markus [3], which can be used to evaluate a System’s performance by using alternative network partitions and allocations of Kanban's. The heuristic design method integrates analytical techniques and a general-purpose genetic algorithm in order to model a System. The heuristic method provides us with a useful procedure for evaluating the impact of design alternatives and can therefore serve as a decision support tool for managers to use when planning a large-scale manufacturing system. What is Kan-ban ? By this point you may be asking, "What is a Kan-ban?” A Kan-ban is a card containing all the information required to be done on a product at each stage along its path to completion and which parts are needed at subsequent processes. These cards are used to control work-in-progress (W.I.P.), production, and inventory flow. A Kan-ban System allows a company to use Just-In-Time (J.I.T) Production and Ordering Systems that allow them to minimize their inventories while still satisfying customer demands. A Kan-ban System consists of a set of these cards, with one being allocated for each part being manufactured, that travel between preceding and subsequent processes.

Kan-ban System
The Kanban System was developed (more than 20 years ago), by Mr. Taiichi Ohno, a vice president of Toyota, to achieve objectives that include [4]:

. A pull-type production line is a sequence of production stages performing various process steps on parts where each stage consists of several workstations in tandem. However. Why Kanban? Dramatic changes away from high product throughput and high capacity loads towards the new idea of lower production times and work-in-progress have lead to the idea of incorporating Kanban Systems in manufacturing industries (most notably in automotive industries). Withdrawal (Conveyance) Kan-ban 2.P. The flow of parts through the overall facility is controlled by a combined push/pull control policy. mutual trust and support. These systems are most commonly used to implement the pull-type control in production systems with aims at reducing costs by minimizing the W.I. remaining with the parts until the last part has been consumed by the next process. Once it gets the parts from the preceding process and moves them to the next process. A push-type policy is used for producing parts within each individual production stage. This allows an organization the ability to adapt to changes in demand. inventory. Production Kan-ban Withdrawal (Conveyance) Kan-ban The main function of a withdrawal Kan-ban is to pass the authorization for the movement of parts from one stage to another. and therefore production more quickly. which is established by the Kan-bans. parts are pulled between the production stages in accordance with the rate at which parts are being consumed by the downstream stages.o reducing costs by eliminating waste/scrap o try to create work sites that can respond to changes quickly o facilitate the methods of achieving and assuring quality control o design work sites according to human dignity. and allowing workers to reach their maximum potential. Types of Kan-bans The two most common types of Kan-bans used today are: 1.

Each production stage consists of one or more workstations and each has an unlimited local buffer for storing unfinished parts. distributed amongst S production stages. A withdrawal Kanban usually carries the following information: o part number o part name o lot size o routing process o name of the next process o location of the next process o name of the preceding process o location of the preceding process o container type o container capacity o number of containers released The withdrawal Kan-ban layout can be designed many ways in order to display this information. N. Production Kanban The primary function of the production Kan-ban is to release an order to the preceding stage to build the lot size indicated on the card.The withdrawal Kanban then travels back to the preceding process to get parts thus creating the cycle. The production Kan-ban card should have the following information : o materials required as inputs at the preceding stage o parts required as inputs at the preceding stage o information stated on withdrawals Kan-ban The first two pieces of information are not required on the withdrawal Kan-ban as it’s only used for communicating the authorization of movement of parts between work stations. Flow of Kan-ban-Controlled Production Lines A kan-ban system consists of a tandem network of work stations. .

The kan-ban that was associated with the finished part is removed as soon as the part has been withdrawn by the next stage downstream. This allows you to minimize the setup and production costs as much as possible in this type of system. Once the part has entered the work station. there are Ki kan-bans and Ni work stations. no withdrawal of parts without a kan-ban 2. it must first acquire a free kan-ban (withdrawal kanban). They are as follows : 1. Once the part has completed the stage.1). As a result of its importance in the work place. it is best to use pre-determined lot sizes for the production of all parts. Ki . no input buffer is necessary for the initial stage while no output buffer is required at the final stage.In a production stage i. Kan-ban Preconditions Kan-ban is a essentially a tool that can be used to manage a work place effectively. For a kan-ban system to operate at its maximum efficiency. six rules (or preconditions) have been developed to govern the operation of a kan-ban system. In order for a part to enter into production stage i. it receives a new production kan-ban which remains attached to the part while until all work steps associated with the kan-ban card have been completed. the subsequent process comes to withdraw only what is needed . the production kan-ban is removed once a withdrawal kan-ban becomes available. The kan-ban system produces only one type of part and performs under the assumption that an unlimited supply and demand of raw materials and finished products exists. The part is then moved to the output buffer where is awaits a new kan-ban to move pull it along to the next production stage (i + 1). The newly unattached kan-ban is then returned to the input buffer where it serves as a pull signal for the upstream stage (i . As a result of this assumption.

Simply determining the quantity and location of kan-bans controls the amount of inventory. the preceding process should produce only the exact quantity of parts withdrawn by the subsequent process (ensures minimum inventory) 5. Kan-ban is a simple-to-operate control system. Emergency kan-ban . refer to the reference indicated.used to replace defective parts and other uncertainties such as machine failures or changes in production volumes 3. It combines production and withdrawal kan-bans for both stages onto one.3. A number of attractive qualities contribute to the growing popularity of kan-ban control. For more information. Kanban is simple (mechanically) and relatively inexpensive to implement and operate. They are discussed briefly as follows: 1.used when adjacent work centers are located close to each other. and greater production customer responsiveness. Among the basic advantages of JIT are reduced finished goods and WIP inventory levels. JIT objectives are met by using pull-based production planning and control systems.used when shortages of parts occur 2. The best known form of pull-control is our kan-ban control. Express kan-ban . through. Through kan-ban . . shorter product flow times. and increased worker productivity allowing for lower production costs. Other types of Kanbans We also found three other types of kan-bans that exist for special circumstances only. do not send the defective part to the subsequent process 4. smoothing of production 6. which offers the opportunity to delegate routine material transactions on the shop floor. fine tuning of production using kan-ban These rules are quite self-explanatory. kan-ban Conclusion There are many advantages to using the JIT philosophy.

kan-ban control is not without its drawbacks.It is a distributed control system. or (2) significant set-ups. kanban will be the system many companies will and should use in the near future. is its ‘requirement for. Overview of Six Sigma . Kan-ban is often cited as being applicable only in certain environments. environmental improvement. Even in spite of these problems. or impossible to use when there are: (1) job orders with short production runs. you must find it first. where complex system behaviour is controlled by simple local rules. and facilitation of. It is stated that kan-ban is difficult. Visual controls provide a direct form of communication and make clear what must be done by managers. and operators. Issues of kanbans appropriateness in a particular production system revolve around general operating characteristics as well as environmental conditions. or (3) scrap loss. The general operating characteristics required can be summarized as the repetitive manufacturing of discrete units in large volumes which can be held relatively steady over a period of time. Even in trying to establish an effective kan-ban.’ The reduction of WIP and visual control makes problems more noticeable. This supports the saying that in order to eliminate waste. Despite many sources of attractiveness. The tighter coupling between processes creates a dependence. which is lacking in many push environments and forces awareness to problems. supervisors. and the one that often makes it difficult to implement. or (4) large. one must consider availability of relevant system information. Perhaps the most attractive aspect of kanban. unpredictable fluctuations in demand.

One Sigma = high variance from the goal (many defects) Six Sigma = low variance from the goal (few defects) In other words: Six Sigma = 3 defects per million opportunities Four Sigma = 6. including General Electric. What is Six Sigma? Six Sigma is an effective business process improvement methodology. It has since helped a number of world-class organizations. meant as a quick reference guide. become more cost-competitive while achieving strong growth. Why do Six Sigma? Make us meet our customers¡¦ increasing expectations Boost our growth in line with that of our core customers Enhance the value of the Company Provide a consistent methodology of improvement Overview of Six Sigma definitions Sigma measures how far a process or product deviates from a target goal.210 defects per million opportunities .This overview of Six Sigma is a brief explanation of the basic concepts. It is the Quality of Business It focuses on customers needs. It is not the Business of Quality. Customers can be: external internal Six Sigma was developed at Motorola.

807 defects per million opportunities Six Sigma is a statistical bench mark sigma stands for variance of a measurable characteristic Six Sigma is DMAIC Define Identify the product or process to be improved and top few critical to quality (CTQ) customer requirements..Three Sigma = 66. Causes are verified with data. Data collection is planned to ensure it is information rich and statistically significant. Inferences are made using sound sampling techniques. . Initial process performance is quantified to establish baseline. Solutions are validated with data. Measure Quantify how the process performs today and set improvement goal Analyze Identify the input variables that affect the CTQ¡¦s the most Improve Determine solutions for controlling the key process input variables. quantify their impact and compare to goal. Data is appropriately graphed to unveil information. Control Implement process design modifications and standardization methods for maintaining the improved performance level over time. Six Sigma is Data Driven.

The Foundation of Six Sigma is Data-Based Decision Making The key to six sigma implementation is the training and certification of green and black belts. For details of the easiest online method click this link - .